Can I be a sole trader and be an employee on PAYE?


Yes, you can be a sole trader and be an employee on PAYE.

To set up a business as a sole trader you must register as a self-employed person with Revenue if your net income is above €5,000. You will have to pay Income Tax, Pay Related Social Insurance (PRSI) and Universal Social Charge (USC) on your net business profits.




You do not have to disclose your Sole Trade to your employer (unless it states otherwise in your employment contract).

Your employer will not be able to see your Sole Trade when doing payroll.

You must keep accounting records of all purchases and sales of goods/services, including cash receipts and payments (you should set up a separate bank account for the sole trade business).


Tax Returns


You will need to do an annual tax return and file it with Revenue (Form 11) and pay any tax on profits due from the sole trade.

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Mark Sweetman, ACA

Mark Sweetman, ACA

As a Chartered Accountant I've built my experience working within the SaaS and digital technology industries, growing early-stage businesses from the inside. I help digital entrepreneurs understand their companies and ensure they have all the tools they require to succeed and thrive. I love adopting new tech solutions and making use of these to increase efficiency within our clients' businesses.